Let me clarify that the term "multi-family" consists of two or more units.
True or False: More one family homes foreclose than a multi-family homes?
Could be true. Micheal Sexton from Trumpblog posted an article today that stated more one family homes foreclose than multi-unit homes. An investor friend said to Micheal "Virtually all the foreclosed properties out there are single-family homes or condos," he said. "If you can find me more than a handful of foreclosed multi-unit properties, I'll eat my shirt. It's because people almost always make money in multi-units, so they don't go into foreclosure."
Interesting - No?
Well, I checked on PropertySharks.com and what I found was that there are some foreclosures of multi-units but they are 10:1 to single family homes and the ones that I did find were in less desirable areas which shows me that rent collected is less, therefore less rent roll means less revenue.
I can totally see it the way Micheal interprets it. But another way could be that most investors have alot more to lose. Look at it this way - to invest you need to have some cash at hand and if it is a commercial building than the minimum required down payment would be 30% - allowing finance of 70%. But also, if an investor is buying property to only create cash flow - they have made the numbers make sense.
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